The Philippine Chamber of Commerce and Industry (PCCI) expects businesses to have “much-needed operational breathing room” following the Bureau of Internal Revenue’s (BIR) suspension of field tax audits and related operations.

PCCI, the country’s largest business group, said the temporary suspension provides “crucial and immediate relief” to businesses in the country, especially micro, small, and medium enterprises (MSMEs).

Without the added pressure of field audits, PCCI said businesses can better focus on year-end priorities, such as holiday-season sales, inventory management, and strategic planning for the next year.

Newly minted Department of Finance (DOF) Secretary Frederick Go ordered the suspension of field audits on Monday, Nov. 24, in an effort to protect taxpayers from potential abuse.

Go said his agency will conduct a comprehensive review of existing policies and procedures to ensure that every taxpayer is met with a “fair and honest” audit.

The BIR swiftly implemented the suspension through Revenue Memorandum Circular (RMC) No. 107-2025, halting the issuance of letters of authority (LOA) and mission orders (MO).

LOA allows revenue officers to examine a taxpayer’s book and records, while an MO authorizes surveillance, verification, site inspections, and other limited fact-finding activities.

In a separate statement, the influential Makati Business Club (MBC) said the business community has long been complaining about the two documents.

MBC said the LOA and MO were weaponized by the BIR to “squeeze more money out of responsible and legitimate taxpayers, instead of targeting tax evaders.”

In response to these concerns, BIR Commissioner Charlito Martin Mendoza has ordered the creation of a technical working group (TWG)on integrity and audit reforms for LOA and MO.

Mendoza said the group will evaluate existing procedures, identify operational and systemic vulnerabilities, recommend revised LOA protocols, and integrate digital safeguards and uniform audit standards.

PCCI said this move is a critical step toward addressing long-standing concerns involving clarity, consistency, and proper oversight in audit processes.

“PCCI sees this as an important opportunity to improve guidelines, strengthen internal controls, and ensure that the audit system fully aligns with established rules and the principles of due process,” it said.

The industry group said it is willing to provide technical input and practical insights to the TWG’s review to help refine field tax audit and related audit protocols.

“Our shared goal is to cultivate a tax system that protects compliant taxpayers, supports efficient and fair revenue collection, and upholds the standards of accountability, integrity, and transparency,” said PCCI.

MBC, on the other hand, said it is open to collaborating with the DOF, BIR, and the Bureau of Customs (BuCor) to “achieve real reform towards President Marcos Jr’s overarching directive for an efficient and fair revenue collection.”

“This is a key component in improving the business environment to attract investors that will generate more jobs and jump start the economy,” it said.